Wincor Nixdorf warns on profit as hardware business slides

FRANKFURT (Reuters) - German ATM maker Wincor Nixdorf warned on Friday that it would miss its sales and operating profit guidance for the year and said it would restructure its hardware business to halt a slide in revenue.

In the first six months of its fiscal year 2014/15, which ends on Sept. 30, net sales fell 2 percent to 1.21 billion euros (0.87 billion pounds) as growth at its software and IT services businesses failed to offset a 12 percent decline at its hardware business, it said.

Earnings before interest, tax and amortisation (EBITA) dropped 31 percent to 47 million euros.

The company had previously said it expected full-year net sales to grow moderately from a year-earlier figure of 2.47 billion euros. It had said EBITA - 135 million euros in the last fiscal year, adjusted for one-off items - would grow at a slightly faster rate than sales.

"From the current perspective, these targets will not be met," it said on Friday, adding it would provide further details when it publishes full first-half results on April 23.

"Capacity adjustments within the hardware sector as well as cost streamlining are elements within the restructuring programme," it added, without saying whether it planned to cut jobs.

(Reporting by Maria Sheahan; Editing by Pravin Char)